To Whom Do You Turn During a Financial Crisis? Radio and TV

University of Maryland media economist Douglas Gomery has some theories about how people will alter their media consumption habits during a prolonged financial recession. His model is a synthesis of current audience behavior combined with extensive research on media consumption trends during the Great Depression.

“TV and radio will both do well during a deep recession,” says Gomery, an emeritus professor of journalism at the University of Maryland, who co-authored “Who Owns the Media?” (2000) and nine other books. He is also a scholar-in-residence at the University of Maryland Library of American Broadcasting. […]

“Radio will do well as we are stuck in our cars each working day, and free, over-the-air broadcasting requires no cash,” says Gomery. “A poor economy is not likely to be kind to satellite radio services XM and Sirius – even as merged.”

The wonderful thing about broadcast media is that it is free. Radio in particular has huge appeal in this regard as most television watchers have subscription services these days. Cable and satellite services spring readily to mind. Since the content is free for the recipient and the receivers might as well be free, this translates into a very appealing scenario for those feeling the financial crunch.

Dr. Gomery’s analysis of media consumption in financially uncertain times like these runs the gamut from broadcast radio to the sit-down movie theater. If you have an interest in the intersection of economics and media, I highly advise the rest of the article linked above.